STATE OF NEW YORK
        ________________________________________________________________________

                                         2935--D

                               2023-2024 Regular Sessions

                    IN SENATE

                                    January 25, 2023
                                       ___________

        Introduced  by  Sens. PARKER, BRESLIN, BRISPORT, CLEARE, COMRIE, FERNAN-
          DEZ, GIANARIS, GONZALEZ, GOUNARDES, HARCKHAM, HOYLMAN-SIGAL,  JACKSON,
          KAVANAGH, KRUEGER, LIU, MARTINEZ, MAY, MYRIE, RAMOS, SALAZAR, SEPULVE-
          DA,  SERRANO,  STAVISKY  --  read  twice and ordered printed, and when
          printed to be committed to the Committee on  Energy  and  Telecommuni-
          cations  --  reported  favorably from said committee, ordered to first
          and second report, ordered to a third  reading,  amended  and  ordered
          reprinted,  retaining its place in the order of third reading -- again
          amended and ordered reprinted, retaining its place  in  the  order  of
          third  reading  --  again amended and ordered reprinted, retaining its
          place in the order of third reading -- recommitted to the Committee on
          Energy and Telecommunications in accordance with Senate Rule 6, sec. 8
          -- committee discharged, bill amended, ordered  reprinted  as  amended
          and recommitted to said committee

        AN ACT enacting the "just energy transition act"

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Short title.  This act shall be known and may be  cited  as
     2  the "just energy transition act".
     3    §  2.  Legislative  findings and statement of purpose. The legislature
     4  hereby finds, determines and declares:
     5    (a) New York state, especially New York city,  is  reliant  on  fossil
     6  fuels  for energy production, making the transition to renewable sources
     7  for the downstate electricity system key to achieving  the  requirements
     8  of  section  4  of  the  New York state climate leadership and community
     9  protection act, including that seventy percent of the state's  electric-
    10  ity  be  from  renewable  energy  sources  by the year 2030 and that one
    11  hundred percent of the state's electricity be from zero-emission sources
    12  by the year 2040.
    13    (b) New York state is committed to  the  responsible  replacement  and
    14  redevelopment  of its fossil fueled generation facilities that currently

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06171-14-4

        S. 2935--D                          2

     1  ensure resource adequacy in the state, especially in locations where the
     2  health benefits to historically disadvantaged communities can  be  maxi-
     3  mized,  and  where the cost effective phasing-out of such facilities can
     4  be done while helping to ensure a just transition for the existing work-
     5  force.
     6    (c)  A  public policy purpose would be served and the interests of the
     7  people of the state would be advanced by directing the  New  York  state
     8  energy  research  and  development  authority,  in consultation with the
     9  department of public service and the department of environmental conser-
    10  vation, to continue the development of the study commenced in  2022,  as
    11  referenced  in  the climate action council scoping plan of strategies to
    12  facilitate the replacement and redevelopment of New  York's  oldest  and
    13  most-polluting  fossil  fueled  generation facilities and their sites by
    14  2030, while ensuring resource adequacy, with renewable energy systems as
    15  defined in paragraph (b) of subdivision 1 of section 66-p of the  public
    16  service  law,  energy  storage systems, and electricity transmission and
    17  distribution systems and equipment.
    18    (d) It is the intent of  the  legislature  in  enacting  this  act  to
    19  empower  the  New  York state energy research and development authority,
    20  department of public service, and department of environmental  conserva-
    21  tion,  to  develop  a  study  as described in the climate action council
    22  scoping plan and paragraph (c) of section  three  of  this  act  in  the
    23  manner  authorized  and  directed herein, and for those entities and the
    24  public service commission, and any other agencies or authorities of  the
    25  state  as  may  be required, to commence any proceedings or other initi-
    26  atives necessary to carry out the strategies described therein.
    27    § 3. The New York state energy research and development  authority  is
    28  authorized and directed to:
    29    (a)  develop  a  study of competitive options to facilitate the phase-
    30  out, replacement and redevelopment of New York state's oldest and  most-
    31  polluting  fossil  fueled  generation  facilities and their sites by the
    32  year  2030,  with  renewable  generation  options  that  include   those
    33  described in the scoping plan issued by the climate action council under
    34  section  75-0103 of the environmental conservation law, renewable energy
    35  systems as defined in paragraph (b) of subdivision 1 of section 66-p  of
    36  the  public  service law, energy storage systems, and electricity trans-
    37  mission and distribution systems and equipment, while ensuring  resource
    38  adequacy  and other reliability services are maintained, and to do so in
    39  consultation with the department of public service,  the  department  of
    40  environmental conservation, Long Island power authority, and other rele-
    41  vant  state  agencies and authorities with subject matter expertise, the
    42  federally designated electric bulk system operator, the New  York  State
    43  Reliability Council, and the owners of such facilities. The study should
    44  prioritize  the  replacement  and  redevelopment  of  such fossil fueled
    45  generation facilities with  facilities  that  will  directly  assist  in
    46  achieving  the  energy,  environmental  justice and emissions reductions
    47  requirements of section 66-p of the public service law. The study  shall
    48  address the phase-out of at least four gigawatts of fossil fueled gener-
    49  ation  statewide  capacity in total and prioritize those facilities that
    50  only operate when electricity usage is highest. The study shall  include
    51  recommendations of standards and requirements that:
    52    (i)  significantly  reduce  the state's electricity system reliance on
    53  fossil fuels, taking into account the requirements  and  timing  of  the
    54  state's emission reduction programs;
    55    (ii) establish a competitive program to promote private sector invest-
    56  ment  in  eligible  technologies  that the public service commission has

        S. 2935--D                          3

     1  determined, after notice and provision for the opportunity  to  comment,
     2  ensure  resource  adequacy,  while achieving the requirements of section
     3  66-p of the public service law;
     4    (iii)  provide significant environmental, health and other benefits to
     5  disadvantaged communities as such  communities  will  be  defined  under
     6  section 75-0111 of the environmental conservation law; and
     7    (iv)  have  significant  potential  for  job  creation  and retention,
     8  economic development, and just transition opportunities  benefiting  New
     9  Yorkers  and  the  state's  workforce,  as described in the scoping plan
    10  issued by the climate action council under section 75-0103 of the  envi-
    11  ronmental conservation law; and
    12    (v)  ensure  the  availability of assistance under the electric gener-
    13  ation facility cessation mitigation fund established  in  section  1  of
    14  part BB of chapter 58 of the laws of 2016 to any local government entity
    15  impacted  by  the  replacement and redevelopment of fossil fueled gener-
    16  ation facilities under this section;
    17    (b) provide  public  notice  of  the  study, and ensure the results of
    18  the study are made easily accessible to members of disadvantaged  commu-
    19  nities,  as defined in section 75-0101 of the environmental conservation
    20  law, and provide an opportunity for public comment on the study  of  not
    21  less  than  sixty  days and conduct at least two  public hearings on the
    22  study, of which at least one shall be held in disadvantage  communities,
    23  as defined in section 75-0101 of the environmental conservation law with
    24  such public hearings offering  video participation and accessibility;
    25    (c)  address  public  comments  and  update the study, as appropriate,
    26  especially to ensure resource  adequacy  and  reliability  services  are
    27  maintained; and
    28    (d)  deliver  the  study  to  the governor, temporary president of the
    29  senate and speaker of the assembly within 180 days of the effective date
    30  of this section.
    31    § 4. The department of public service, the department of environmental
    32  conservation, and Long Island power authority shall commence proceedings
    33  and stakeholder processes to establish programs  and  other  initiatives
    34  necessary to carry out the strategies, programs, standards, and require-
    35  ments  described  in  the study referred to in section three of this act
    36  within 60 days of delivery of the study to the governor, temporary pres-
    37  ident of the senate and speaker of the assembly.
    38    § 5. The public service commission shall:
    39    (a) commence a proceeding to implement the strategies, programs, stan-
    40  dards, and requirements described in the study referred  to  in  section
    41  three  of this act within 90 days of delivery of the study to the gover-
    42  nor, temporary president of the senate and speaker of the assembly; and
    43    (b)  issue  an  order  regarding  implementation  of  the  strategies,
    44  programs, standards, and requirements described in the study referred to
    45  in  section  three  of  this act no later than July 30, 2026. Such order
    46  shall at a minimum:
    47    (i) direct the New York state energy research and development authori-
    48  ty to implement a competitive award process to facilitate  the  replace-
    49  ment  and  redevelopment  of  at  least  four gigawatts of fossil fueled
    50  generation facilities statewide while maintaining reliability consistent
    51  with the recommendations of the study pursuant to section three of  this
    52  act,  and  that as part of such competitive award process, consideration
    53  shall be given to security of offtake with  respect  to  generation  and
    54  transmission; and
    55    (ii)  direct  that  with  respect  to  the  competitive  award process
    56  required, the only eligible electricity  generation  from  hydroelectric

        S. 2935--D                          4

     1  facilities  shall  be electricity that is generated from non-state-owned
     2  low impact run-of-river facilities located in the state that  provide  a
     3  year-round electricity capacity resource.
     4    (c)(i)  Any  projects  pursuant to this section, or the study provided
     5  herein, shall be  deemed  public  work  and  shall  be  subject  to  and
     6  performed  in  accordance  with  articles 8 and 9 of the labor law. Each
     7  contract for such project shall contain a provision  that  such  project
     8  shall  only  be  undertaken  pursuant  to a project labor agreement. For
     9  purposes of this section, "project labor agreement" shall  mean  a  pre-
    10  hire  collective  bargaining agreement between the New York state energy
    11  research and development authority, a  third  party  on  behalf  of  the
    12  authority, or a recipient of support under this section, and a bona fide
    13  building  and  construction  trade  labor  organization establishing the
    14  labor organization as the collective bargaining representative  for  all
    15  persons  who  will  perform  work  on  a  public work project, and which
    16  provides that only contractors and subcontractors who sign a pre-negoti-
    17  ated agreement with the labor organization can perform project work. All
    18  contractors and  subcontractors  associated  with  this  work  shall  be
    19  required  to  utilize apprenticeship agreements as defined by article 23
    20  of the labor law.
    21    (ii) The New York state energy research and development authority,  or
    22  public service commission, where appropriate, shall include requirements
    23  in  any  procurement  or  development  of  a renewable energy generating
    24  project, as defined in this subdivision, that the components  and  parts
    25  shall  be  produced  or  made in whole or substantial part in the United
    26  States, its territories  or  possessions.  The  New  York  state  energy
    27  research and development authority's president and chief executive offi-
    28  cer,  or  his  or her designee may waive the procurement and development
    29  requirements set forth in this paragraph  if  such  official  determines
    30  that: the requirements would not be in the public interest; the require-
    31  ments  would result in unreasonable costs; obtaining such infrastructure
    32  components and parts in the United States would increase the cost  of  a
    33  renewable  energy  generating project by an unreasonable amount; or such
    34  components or parts cannot be produced, made, or assembled in the United
    35  States in sufficient and reasonably available quantities or of satisfac-
    36  tory quality. Such determination shall be made on  an  annual  basis  no
    37  later than December thirty-first, after providing notice and an opportu-
    38  nity  for  public comment, and such determination shall be made publicly
    39  available, in writing, on the New York state energy research and  devel-
    40  opment  authority's  website with a detailed explanation of the findings
    41  leading to such determination. If the New York state energy research and
    42  development authority's president and chief executive officer, or his or
    43  her designee, has issued  determinations  for  three  consecutive  years
    44  finding  that  no  such  waiver is warranted pursuant to this paragraph,
    45  then the New York state energy research and development authority  shall
    46  no  longer  be  required to provide the annual determination required by
    47  this paragraph.
    48    (d)(i) The commissioner of labor, in consultation with labor organiza-
    49  tions, shall develop a  comprehensive  plan  to  transition,  train,  or
    50  retrain  employees  that are impacted by projects undertaken pursuant to
    51  this act, or the study provided in section three of this act. This  plan
    52  shall  include a method of allowing displaced and transitioning workers,
    53  including affected labor organizations, to notify  the  commissioner  of
    54  the  loss  of  employment, their previous title, and previous wage rates
    55  including whether they previously  received  medical  and/or  retirement

        S. 2935--D                          5

     1  benefits. The plan shall require employers to notify the commissioner of
     2  workers laid off or discharged due to this act.
     3    (ii)  The  commissioner  of  labor  shall create a program pursuant to
     4  which, where applicable and feasible, newly  created  job  opportunities
     5  shall  be offered to a pool of transitioning workers who have lost their
     6  employment or will be losing  their  employment  in  the  energy  sector
     7  through  projects undertaken pursuant to this act, or the study provided
     8  in section three of this act. Such program shall include  a  method  for
     9  the  commissioner  of labor to communicate names and contact information
    10  for displaced or transitioning workers to public entities that may  have
    11  job opportunities for such workers every 90 days.
    12    (e)  Notwithstanding  any provision of law to the contrary, all rights
    13  or  benefits,  including  terms  and  conditions  of   employment,   and
    14  protection  of  civil  service  and  collective bargaining status of all
    15  existing public employees and the work jurisdiction, covered job titles,
    16  and work assignments, set forth in the civil service law and  collective
    17  bargaining  agreements  with  labor  organizations  representing  public
    18  employees shall be preserved and   protected. Nothing  in  this  section
    19  shall  result in the:  (i) displacement of any currently employed worker
    20  or loss of position (including partial displacement as such a  reduction
    21  in  the  hours  of  non-overtime work, wages, or employment benefits) or
    22  result in the impairment of existing collective  bargaining  agreements;
    23  (ii)  transfer  of  existing duties and functions related to maintenance
    24  and operations currently performed by existing employees  of  authorized
    25  entities to a contracting entity; or (iii) transfer of future duties and
    26  functions  ordinarily performed by employees of authorized entities to a
    27  contracting entity.
    28    § 6. The Long Island power authority  shall  establish  a  program  or
    29  programs  in its service territory consistent with the recommendation of
    30  the  study  conducted  pursuant  to  section  three  of  this  act,  the
    31  provisions of section five of this act, and the objectives of this act.
    32    § 7. This act shall take effect immediately.